Billionaire Mark Zuckerberg saw his fortune tumble by a record $16.8bn on Wednesday while his Facebook lost close to $150bn in market cap after the social media giant revealed that its user base and second-quarter revenue grew slower than expected.
Because of these wild fluctuations, Zuckerberg had slipped from fourth richest person to the eighth by the end of Wednesday.
Operating profit margin, which fell to 44 per cent in the second quarter from 47 per cent a year ago, will sink to the “mid-30s” for more than two years, Chief Financial Officer David Wehner said in investor guidance.
The gloomy results came after Facebook has been embroiled in a data scandal affecting millions of users. The introduction of the General Data Protection Regulation in Europe also hit Facebook user growth and engagement. But Facebook said, so far, GDPR had no significant impact on advertising in Europe.